Thursday, June 30, 2011

But it can't create jobs, right?

With teeth -- and arse -- firmly clenched, Craig Westover, the current mouthpiece for the Republican Party of Minnesota, has for a long time quoted dead Austrians for the proposition that government can't create jobs. It isn't true, but it is so far beside the whole point as to render a discussion with Captain Fishsticks a complete waste of time.

An article in the Strib today gives us a glimpse of why: State shutdown would put a big crimp in lending. Here's the lede:
Banks, auto dealers, farm implement dealers, new business start-ups and other enterprises are bracing for a significant disruption in commercial lending in the event of a government shutdown this week.
What you say? These people don't depend on the damn gubmint!

Sorry; they do. If the Secretary of State's UCC division cannot accept or file financing statements, lenders aren't going to lend. So borrowers aren't going to borrow.

It's too bad, too. Since you won't be able to occupy the state park campsite you reserved this weekend, you may have thought about going out to kick some tires or sit in that shiny new boat in the showroom. Just don't plan to buy it unless you have cash.

This is one small example of how business relies literally every minute on government.

We can hope this will be a teachable moment for guys like Westover.


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